CarVal Investors, a leading alternative investment manager, has selected Northern Trust Hedge Fund Services to provide middle office and fund administration services for CarVal's global portfolios.
The agreement provides CarVal Investors with a unified operations and technology platform to support investment teams and strategies on four continents worldwide. CarVal Investors conducted a competitive process with extensive due diligence before selecting Northern Trust Hedge Fund Services as its first external fund administrator.
"As CarVal continues to grow its global franchise, this relationship allows us to scale our operations while controlling costs and maintaining focus on our value investment discipline," said Peter Vorbrich, Chief Financial Officer of CarVal Investors. "Northern Trust Hedge Fund Services brings deep operational expertise around alternative investments andmarket-leading technology created specifically for the needs of funds like ours. Above all, we selected Northern Trust because their commitment to client service and integrity will help to drive sustainable growth at CarVal."
CarVal Investors is a leading global alternative investment fund manager focused on distressed and credit-intensive assets and market inefficiencies. The firm, which was founded by Cargill in 1987, has approximately $9 billion in assets under management in both credit and real estate strategies.
Under the agreement, Northern Trust Hedge Funds Services provides comprehensive middle office and administration services across CarVal's enterprise. Services include trade capture and lifecycle processing, profit and loss reporting, collateral management, fund accounting, and financial reporting for more than 75 investment structures, as well as investor accounting and investor servicing for CarVal Investors' more than 130 institutional investors.
"We are proud that CarVal has chosen us as their service provider, and we look forward to helping this premier investment firm extend its global reach," said Peter Sanchez, Chief Executive Officer of Northern Trust Hedge Fund Services. "Our services are designed to help firms like CarVal achieve high levels of efficiency and processing control, even though they trade in a diverse range of asset classes and employ complex strategies and capital structures. This relationship demonstrates the range of our platform, which can support the full lifecycle of virtually any strategy or asset class employed by alternative funds today."
Northern Trust Hedge Fund Services has gained more than 40 new clients since it was created through Northern Trust's acquisition of Omnium LLC from Citadel in 2011. New clients include U.S.-based launches and established funds, as well as managers and funds located in Ireland, the Channel Islands, Cayman Islands, Scandinavia and the Asia-Pacific Region. The firm has also established a number of relationships with sovereign wealth funds.
Northern Trust is one of the world's leading asset servicing providers, offering global expertise and local specialist services to investment managers and institutional investors in more than 40 countries. Northern Trust's Corporate & Institutional Services business unit is a leading global provider of asset servicing, asset management, and related services to fund managers, sovereign wealth funds, pension funds, foundations, endowments, insurance companies and government funds. Its Global Fund Services business offers a broad array of middle- and back-office solutions customized to meet the needs of investment managers and fund sponsors, allowing clients to build services around their needs while providing the strength and scalability of one of the world's leading financial institutions.
About Northern Trust
Northern Trust Corporation (Nasdaq: NTRS) is a leading provider of investment management, asset and fund administration, banking solutions and fiduciary services for corporations, institutions and affluent individuals worldwide. Northern Trust, a financial holding company based in Chicago, has offices in 18 U.S. states and 16 international locations in North America, Europe, the Middle East and the Asia-Pacific region. As of September 30, 2012, Northern Trust had assets under custody of US$4.8 trillion, and assets under investment management of US$749.7 billion. For more than 120 years, Northern Trust has earned distinction as an industry leader in combining exceptional service and expertise with innovative products and technology. For more information, visit www.northerntrust.com or follow us on Twitter @NorthernTrust.